INTERIM REPORT JANUARY – DECEMBER 2004
Summary for the year
- Net turnover for the year amounted to KSEK 1,073 (KSEK 306)
- Profit/loss after tax amounted to KSEK –34,539 (KSEK (-29,355)
- Profit/loss per share amounted to SEK –3.10 SEK (SEK –4.60)
- The gross transaction volume for 2004 was KSEK 19,202 (KSEK 5,106) and the gross transaction margin was 4.6 per cent (4.7 per cent).
- The number of activated wallets amounted to 154,318 (55,700) as of 31 December 2004
- The number of e-retailers signing agreements to offer the Paynova Wallet amounted to 801 (538) as of 31 December 2004
- Paynova AB was listed on NGM (the Nordic stock exchange) on 26 February 2004
- The first Large Enterprise Service, Swebus Express, went into operation in Week 8.
Summary for the quarter September – December
- Net turnover increased to KSEK 375 (KSEK 119)
- Profit/loss after tax amounted to KSEK -10,095 (KSEK (-11,054)
- Profit/loss per share for the period amounted to SEK -0.80 (SEK -1.30).
- The gross transaction volume increased to KSEK 6,961 (KSEK 2,280) and the gross transaction margin was 4.6 per cent (4.5 per cent).
- During the quarter, 20,599 new wallets have been opened, and agreements signed with 60 new e-retailers.
During this financial year, Paynova has signed significant reference agreements with high-volume customers such as Ryanair, SJ and Swebus Express. At the same time, the company’s European partner network has grown, with strategic partners such as easycash/GZS, Paybox, TripleDeal, Cint Index and WM-data.
As a result, Paynova has reached a phase in which the former focus on sales and development is now switching to production and operation. The company considers that existing agreements and ongoing negotiations provide potential for achieving positive cash flow during the fourth quarter of 2005. Johan Waxberg, who took over as CEO at the end of December 2004, will follow through with the marketing strategy established, with expansion into Europe.
Conditions are judged to be good for the two remaining strategic steps, which are to increase the number of consumers and transaction volumes through referrals from existing customers, and to optimise income.
Below are comments from some of Paynova’s customers and partners on their collaboration with Paynova and the installation of Paynova’s payment solution:
Stefan Carlén, CEO of Swebus Express
“Paynova is the payment solution supplier we chose to manage all advance payments. In addition to ticket purchases via our website, this also involves advance purchases over the telephone and at distributors all over the country. The launch has taken slightly longer than planned, which is not surprising as we are moving over from only having information in the form of a timetable on the Internet to now being able to offer both booking and payment for travel direct via the Internet. This fundamentally changes the processes and logistics for us. We plan to have Paynova’s payment solution in operation soon. Together with Paynova we will carry out a marketing campaign to promote travel by Swebus Express.”
Thomas Mann, CFO at SJ
“The implementation of Paynova’s payment solution is going to happen, but it will be later than originally planned. The reason for this is that we have come up against some minor delays in connection with changing our web platform. This change has to be made before we can add new payment solutions. With Paynova’s payment services, we will then be able to satisfy more of our customers’ requirements for purchasing tickets over the Internet in a secure and user-friendly way.”
Ralf Gladis, CEO of CompuTop
“CompuTop completed the integration of the Paynova Wallet into the new ‘easycash’ payment platform PayGate 3 and into Paymaster 3 in January 2005. After an initial Paynova presentation in Frankfurt, held for a range of our connected banks and retailers, we are pleased to say that we have recently had a lot of positive responses. On 1 March we will therefore continue our round-table conference with banks and retailers to launch use of the Paynova Wallet on the German market.”
The entire Interim Report is enclosed. This is also available at www.paynova.com
Paynova AB (publ.)
The Board
For further information, contact:
Johan Waxberg, CEO, Paynova AB
Tel.: + 46 (0)70 -688 02 47, e-mail: johan.waxberg@paynova.com
Mats Jonnerhag, Information Manager, Paynova AB
Tel: + 46 (0)708 -754920, e-mail: mats.jonnerhag@paynova.com
www.paynova.com
About Paynova AB
Paynova (listed on NGM: PAY) is a Payment Service Provider (PSP) with a complete transaction processor offering a number of account-based services/forms of access for payments and other transfers via the Internet.
The payment services focusing primarily on the Travel, Media and Retailing sectors include the Paynova Wallet, Large Enterprise Services, Mobile Services, Partner Network Services and Payout Services. Transactions are processed between e-retailers, consumers, banks and other players rapidly, simply, securely and cost-effectively.
Paynova’s transaction processor and payment services are linked, together with traditional banks, card companies and other PSPs, to a comprehensive financial infrastructure with both geographical cover and options for minimising transaction costs.
Paynova’s Partner Network includes well-established Internet banks, card companies (VISA, MasterCard etc.), PSPs and other similar players (GZS/easycash, Paybox, TripleDeal, WM-DATA etc.). Via VISA and MasterCard, Paynova can connect transactions globally with more than 20,000 banks. Paynova’s current market focus is Europe.
Important agreements have been signed with, for example, Ryanair, SJ, Swebus Express and CD-WOW.